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Home My WebLink AboutOrdinance - 2-2023 - Natural Gas Franchise Ordinance- CenterPoint Energy - 01/26/2023CITY OF EDEN PRAIRIE HENNEPIN COUNTY, MINNESOTA ORDINANCE NO. 2-2023 NATURAL GAS FRANCHISE ORDINANCE AN ORDINANCE IMPLEMENTING A GAS ENERGY FRANCHISE FEE ON CENTERPOINT ENERGY MINNESOTA GAS ("CENTERPOINT ENERGY") FOR PROVIDING GAS ENERGY SERVICE WITHIN THE CITY OF EDEN PRAIRIE THE CITY COUNCIL OF THE CITY EDEN PRAIRIE, HENNEPIN COUNTY, MINNESOTA ORDAINS: SECTION 1. DEFINITIONS. Definitions. For the purposes of this Ordinance, the following terms shall have the following meanings: (1) City means the City of Eden Prairie, County of Hennepin, State of Minnesota. (2) Company, means CenterPoint Energy Minnesota Gas ("CenterPoint Energy"), its successors and assigns. (3) Franchise Agreement means the franchise agreement between the City and Company pursuant to City Ordinance 20-2012. (4) Notice means a writing served by any party or parties on any other party or parties. Notice to Company shall be mailed to CenterPoint Energy, Minnesota Division Vice President, 505 Nicollet Mall, Minneapolis, MN 55402. Notice to City shall be mailed to the City Clerk at 8080 Mitchell Road, Eden Prairie, MN 55344. SECTION 2. PURPOSE. The Eden Prairie City Council has determined that it is in the best interest of the City to impose a franchise fee on those public utility companies that provide natural gas and electric services within the City. Pursuant to the Franchise Agreement the City has the right to impose a franchise fee on Company. SECTION 3. FRANCHISE FEE STATEMENT AND SCHEDULE. A franchise fee is hereby imposed on Company commencing with the May, 2023 billing month, and in accordance with the following fee schedule: Customer Classification Residential Firm A Firm B Amount per Account per Month ($) $ 6.50 per month $ 8.50 per month $ 20.50 per month FirmC Small Volume, Dual Fuel A ("SVDF A") Small Volume, Dual Fuel B ("SVDF B") Large Volume, Firm and Dual Fuel ("L VDF") $ 89.50 per month $ 89.50 per month $ 89.50 per month $ 89.50 per month SECTION 4. ACCOUNT FEE. This fee is an account based fee and not a meter-based fee. In the event that an entity covered by this ordinance has more than one meter, but only one account, only one fee shall be assessed to that account. In the event any entities covered by this ordinance have more than one account, each account shall be subject to the appropriate fee. In the event a question arises as to the proper fee amount for any account, the highest possible fee amount shall apply. SECTION 5. PAYMENT. Franchise fees are to be collected by the Company and submitted to the City as follows: January -March collections due by April 30. April -June collections due by July 31. July -September collections due by October 31. October -December collections due by January 31. SECTION 6. RECORD SUPPORT FOR PAYMENT. The Company shall make each payment when due and, if requested by the City, shall provide a statement summarizing how the franchise fee payment was determined, including information showing any adjustments to the total made to account for any non-collectible accounts, refunds or error corrections. The Company shall permit the City, and its representatives, access to the Company's records for the purpose of verifying such statements. SECTION 7. PAYMENT ADJUSTMENTS. Payment to the City will be adjusted where the Company is unable to collect the franchise fee. This includes non-collectible accounts. SECTION 8. SURCHARGE. The City recognizes that the Minnesota Public Utilities Commission may allow the Company to add a surcharge to customer rates to reimburse the Company for the cost of the fee, consistent with the Minnesota Public Utility Commission's March 23, 2011 Order establishing franchise fee filing requirements in Docket No. E,G999/CI- 09-970. SECTION 9. DISPUTE RESOLUTION. If either party asserts that the other party is in default in the performance of any obligation hereunder, the complaining party shall notify the other party of the default and the desired remedy. The notification shall be written. Representatives of the parties must promptly meet and attempt in good faith to negotiate a resolution of the dispute. If the dispute is not resolved within 30 days of the written notice, the parties may jointly select a mediator to facilitate further discussion. The parties will equally share the fees and expenses of this mediator. If a mediator is not used or if the parties are unable to resolve the dispute within 30 days after first meeting with the selected mediator, either paiiy may commence an action in District Court to interpret and enforce this ordinance or for such other relief permitted by law. SECTION 10. EFFECTIVE DATE OF FRANCHISE FEE. The effective date of this Ordinance shall be after its publication and ninety (90) days after sending written notice enclosing a copy of this adopted Ordinance to Company by certified mail. Collection of the fee shall commence as provided above. SECTION 11. RELATION TO FRANCHISE AGREEMENT. This ordinance is enacted in compliance with the Franchise Agreement and shall be interpreted as such. SECTION 13. PERMIT FEES. The Company will administer the collection and payment of franchise fees to the City in lieu of permit fees, or other fees that may otherwise be imposed on the Company in relation to its operations as a public utility in the City so long as the following requirements are met: (1) The Company applies for any and all permits, licenses and similar documentation as though this provision did not exist. (2) The Company requests the fee to be waived at the time of application. SECTION 14. REPEAL OF FRANCHISE FEE ORDINANCE NO. 2-2018. Ordinance 2- 2018 is repealed effective as of the date of commencement of the franchise fee provided for herein in May, 2023 as specified in Section 3. FIRST READ at a regular meeting of the City Council of the City of Eden Prairie on the 3rd day of January, 2023, and finally read and adopted and ordered published in summary form as attached hereto at a regular meeting of the City Council of said City on the 1 7111 day of January, 2023. ·7 / Z:....--- Ronald A. Case, Mayor ATTEST: CITY OF EDEN PRAIRIE HENNEPIN COUNTY, MINNESOTA SUMMARY OF ORDINANCE 2-2023 AN ORDINANCE IMPLEMENTING A GAS ENERGY FRANCHISE FEE ON CENETRPOINT ENERGY MINNESOTA GAS ("CENTERPOINT ENERGY"), FOR PROVIDING GAS ENERGY SERVICE WITHIN THE CITY OF EDEN PRAIRIE Summaries: The Ordinance implements, commencing in May, 2023, a gas energy franchise fee on the Company for providing gas energy within the City. The Franchise Fee schedule is: Residential FirmA FirmB FirmC Small Volume, Dual Fuel A ("SVDF A") Small Volume, Dual Fuel B ("SVDF B") Large Volume, Firm and Dual Fuel ("LVDF") Amount per month $6.50 $8.50 $20.50 $89.50 $89.50 $89.50 $89.50 Effective Date: The effective date of the Ordinance shall be after its publication and ninety (90) days after the sending of written notice enclosing a copy of the adopted Ordinance to the Company by certified mail. ATTEST: Ronald A. Case, Mayor PUBLISHED in the Sun Sailor on January 26, 2023. (A full copy of the text of this Ordinance is available from City Clerk.) b F AFFIDAVIT OF PUBLICATION STATE OF MINNESOTA ) ~s COUNTY OF HENNEPIN Debbie Schwalba being duly sworn on an oath, states or affirms that he/she is the Publisher's Designated Agent of the newspa- per(s) known as : SS Mtka_Excelsior_Eden Prairie with the known office of issue being located in the county of: HENNEPIN with additional circulation in the counties of: HENNEPIN and has full knowledge of the facts stated below: (A) The newspaper has complied with all of the requirements constituting qualifica- tion as a qualified newspaper ai; provided by Minn. Stat. §33 lA.02. (B) This Public Notice was printed and pub- lished in said newspaper(s) once each week, for 1 successive week(s); the first insertion being on 01/26/2023 and the last insertion being on 01/26/2023 . MORTGAGE FORECLOSURE NOTICES Pursuant to Minnesota Stat. §580 .033 relating to the publication of mortgage foreclosure notices: The newspaper complies with the conditions described in §580.033, subd . 1, clause (1) or (2). If the newspaper's known office of issue is located in a county adjoining the county where the mortgaged premises or some part of the mortgaged premises described in the notice are located, a substantial portion of the newspaper's circulation is in the latter county. By:~~ Designated Agent Subscribed and sworn to or affirmed before me on 01/26/2023 by Debbie Schwalba. yca ~M ~~~= Notary Public DARLENE MAR IE MACPHERSON NOTARY PUBLIC -MINNESOTA My Comml sslon Exp ires Jan 31, 2024 Rate Information : (1) Lowest classified rate paid by commercial users for comparable space: $999.99 per column inch Ad ID 1288204 CITY OF EDEN PRAIRIE HENNEPIN COUNTY, MINNESOTA SUMMARY OF ORDINANCE 2-2023 AN ORDINANCE IMPLEMENTING A GAS ENERGY FRANCHISE FEE ON CENTERPOINT ENERGY MINNESOTA GAS ("CENTERPOINT ENERGY"), FOR PROVIDING GAS ENERGY SERVICE WITHIN THE CITY OF EDEN PRAIRIE Summaries: The Ordinance implements, commencing in May, 2023, a gas energy franchise fee on the Company for providing gas energy within the City. The Franchise Fee schedule is: Class Residential FirmA Firm B FirmC Small Volume, Dual Fuel A ("SVDF A") Small Volume, Dual Fuel B ("SVDF B") Large Volume, Firm and Dual Fuel ("LVDF") Amount per month $6.50 $8.50 $20.50 $89.50 $89.50 $89.50 $89.50 Effective Date: The effective date of the Ordinance shall be after its publication and ninety (90) days after the sending of written notice en- closing a copy of the adopted Ordinance to the Company by certified mail. A full copy of the text of this Ordinance is available from City Clerk. Ronald A. Case, Mayor ATIEST: Nicole Tingley, City Clerk Published in the Sun Sailor January 26, 2023 1288204